Trading and risk
Risk management in trading: how much to risk per trade
The 1-2% rule, a position size calculation on EUR/USD and a table that shows why drawdowns are so hard to win back.
Leverage: what it means
Leverage lets you open a position larger than the money in your account, magnifying both profit and loss equally.
Leverage lets you trade an amount larger than your own money: with 1:10 leverage, each UAH 1,000 of your funds opens a UAH 10,000 position. A 1% price move then changes your account by 10%, in either direction.
Leverage is the main reason most retail traders lose money. According to the European regulator ESMA, 74 to 89% of retail CFD accounts lost money.
If you do trade with leverage, cap your risk per trade in advance and use a stop loss.
In detail, with examples: Risk management in trading: how much to risk per trade
Related terms
Figures used here
- Retail CFD accounts losing money, lower bound74%
- Retail CFD accounts losing money, upper bound89%
Checked against official sources on October 30, 2026. When a figure changes, it is updated on every page of the site.
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